When detariffication starts, motor insurance premium will no longer be tariffed, which means that insurance companies will be free to calculate premium on their own. Risk-based pricing will be implemented which means that when determining the price of premium, insurance companies will take into consideration several risk factors, such as: Gender of driver, Age of driver, Vehicle make and model, Driver’s place of residence, Claims history, Use of vehicle and Driver’s occupation. The list could be longer and the risk factors may differ from one insurer to another.
(Last Updated On: February 4, 2017)
Spread the love